NARI-TECH(600406) 海通证券·2024-09-06 11:08Investment Rating - The investment rating for the company is "Outperform the Market" and is maintained [1] Core Views - The company achieved a revenue of 20.114 billion yuan in the first half of 2024, representing a year-on-year increase of 10.02%, while the net profit attributable to the parent company was 2.709 billion yuan, up 8.36% year-on-year [6][4] - The company is expected to benefit significantly from the ongoing construction of ultra-high voltage projects and the high-quality development of distribution networks [6][4] - The company has a strong position in the smart grid technology market and is expected to gain from the increasing investment in domestic grid construction, which reached 254 billion yuan in the first half of 2024, a 23.7% increase year-on-year [6][4] Financial Performance Summary - In the first half of 2024, the company reported a comprehensive gross margin of 29.03%, an increase of 0.42 percentage points year-on-year [6] - The company plans to distribute a cash dividend of 0.135 yuan per share (before tax) for the first half of 2024 [6] - The company’s revenue for the second quarter of 2024 was 12.416 billion yuan, a year-on-year increase of 2.73%, with a net profit of 2.114 billion yuan, up 6.95% year-on-year [4] - The company’s total revenue is projected to reach 58.244 billion yuan in 2024, with a net profit of 8.052 billion yuan, reflecting a year-on-year growth of 12.9% and 12.1% respectively [6][10] Market and Business Segments - The company’s revenue from the smart grid segment was 9.357 billion yuan in the first half of 2024, a year-on-year increase of 1.80% [6] - The energy low-carbon segment saw significant growth, with revenue reaching 5.052 billion yuan, up 32.70% year-on-year [6] - The company’s international projects are progressing rapidly, with overseas revenue reaching 0.831 billion yuan, a year-on-year increase of 92.80% [6] Valuation and Investment Recommendations - The company is expected to achieve net profits of 8.052 billion yuan, 9.169 billion yuan, and 10.512 billion yuan for the years 2024, 2025, and 2026 respectively [6] - The estimated price-to-earnings (P/E) ratio for 2024 is projected to be between 30 to 35 times, corresponding to a reasonable value range of 30 to 35 yuan per share [6]